Tuesday, 6 May 2014

Forex Technical Analysis: US Dollar Range Bound While Gold Shows Weakness

US DOLLAR TECHNICAL ANALYSIS

US DOLLAR TECHNICAL ANALYSIS

The US Dollar seems to be stuck in the range for some time now after rejection at channel top
Above the support level at 10429, the dollar prices are in consolidation mode depicting the 38.2% Fibonacci expansion. Alternatively, a movement downward exposes the 50% level at 10409. Instead, it shows a break above the near-term resistance level at 10454 depicting the 23.6% Fibonacci

GOLD TECHNICAL ANALYSIS

GOLD TECHNICAL ANALYSIS

Despite the uptrend shown by the yellow metal, the Gold Chart Setup predicts a softness
On the technical chart, the yellow metal prices are finding resistance at 1318.69. This is speculated from the descending Triangle chart formation and the 23.6% Fibonacci expansion. If the metal breaks above this barrier, it will achieve the 38.2% level at 1349.81. The descending Triangle reasons out in favor of its weakness and continues to look bearish. Nevertheless, near-term support is at 1277.00, as depicted from the Triangle bottom.